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Portugal banks' ECB borrowing edges up in September

LISBON, Oct 8 (Reuters) - Portuguese banks' borrowing fromthe European Central Bank (ECB) edged up just over 1 percent inSeptember after two months of declines.

Lenders in the bailed-out nation remained dependent on ECBliquidity, being unable to borrow elsewhere.

Cumulative borrowing at the end of last month stood ataround 55.6 billion euros ($72.6 billion), the Bank of Portugalsaid on its website on Monday. It hit an all-time record of 60.5billion euros in June.

Top Portuguese banks met the European Banking Authority'snew capital requirements in June but they have long been frozenout of the interbank funding market due to concerns over thecountry's debt crisis and economic prospects.

Lisbon is working to repair its public finances after takinga 78-billion-euro EU/IMF bailout last year.($1 = 0.7657 euros)

(Reporting By Andrei Khalip. Editing by Jeremy Gaunt.)

((andrei.khalip@thomsonreuters.com)(351)(213-509-209)(Reuters

Messaging: andrei.khalip.thomsonreuters.com@reuters.net))

Keywords: PORTUGAL ECB/BORROWING

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